UNVEILS REPORT THAT SHOWS ADMINISTRATION STRATEGY IS WORKING
September 24, 1999

Today, the President and First Lady will announce bonus awards of $20
million to 35 states that have increased the number of children adopted
from the public foster care system. These bonuses, awarded for the
first time today, were first proposed by President Clinton's Adoption
2002 initiative and included in the Adoption and Safe Families Act of
1997.

The President also will announce $5.5 million in grants to innovative
programs that remove barriers to adoption, and he unveiled a national
progress report on adoption that documents the success of the
Administration's strategy. From 1996 to 1998, the number of adoptions
nationwide rose 29 percent - from 28,000 to 36,000 - and is on a pace to
meet the President's goal of 56,000 adoptions in 2002. This is the
first significant increase in adoptions since the national foster care
program was established nearly 20 years ago.

INCENTIVE AWARDS SUCCEED IN INCREASING ADOPTIONS. In the
Administration's Adoption 2002 proposal and the adoption law of 1997,
the President created the first-ever financial incentive for states to
increase adoptions of children from the foster care system. Today, the
President will release $20 million in bonus awards to 35 states that in
1998 exceeded their average adoption rate from 1995 to 1997. The $20
million in bonuses provide for up to $4,000 per adopted child, and
$6,000 for each child with special needs. In fact, the states'
performance in 1998 was so strong that it would have entitled them,
under the law, to an additional $22.5 million.

INNOVATIVE GRANTS REDUCE BARRIERS TO ADOPTION. The President today also
will announce $5.5 million in new awards under the Adoption
Opportunities program. This program provides grants to public and
private organizations to eliminate barriers to adoption, particularly
for children with special needs. This year's grants reward a variety of
initiatives, including efforts to increase adoptions of minority
children, targeted field research, and awards for collaborative planning
to increase adoptions across jurisdictional lines.

REPORT SHOWS CLINTON ADMINISTRATION STRATEGY IS WORKING. Since taking
office, the President has championed efforts to make foster care work
better, to find and assist adoptive families, and to break down barriers
to adoption. Today, the President will receive a progress report from
the Department of Health and Human Services that documents the
effectiveness of the Administration's strategy.

Reforming the Child Welfare System. In 1997, the President signed the
Adoption and Safe Families Act. This landmark law was based largely on
recommendations from the Administration's Adoption 2002 report, which
the President requested by executive memorandum in order to meet his
goal of doubling adoptions by 2002. The law expedited permanent
placement decisions for children, ensured health insurance coverage for
all special-needs children in subsidized adoptions, and created the
bonus awards released today.

Making Adoption Affordable for Families. The Small Business Job
Protection Act of 1996, signed by the President in 1996, provides a
$5,000 tax credit to families adopting children and a $6,000 tax credit
for families adopting children with special needs. This provision helps
middle class families for whom adoption - particularly of children with
special needs - might have been prohibitively expensive.

Giving States More Flexibility and Support. The Administration has
granted waivers to 20 states and the District of Columbia to test
innovative strategies for improving child welfare systems. In addition,
it has secured new funds to support state implementation of the 1997 law
and has, through the Adoption Opportunities program, supported local
initiatives to promote adoption and provide post-adoptive services.

Using the Internet to Make Adoption Easier. In 1998, the President
directed HHS to develop Internet tools to link children in foster care
more quickly to possible adoptive families. Secretary Shalala reported
that HHS will launch a national web site by September 2001 to break down
geographic barriers to adoption.

Removing Racial and Ethnic Barriers to Adoption. New inter-ethnic
adoption provisions, passed as a part of the Small Business Job
Protection Act of 1996, help ensure that the adoption process is free of
delays and discriminatory practices driven by race, culture and
ethnicity. These provisions strengthened the Multi-Ethnic Placement
Act, which the President signed in 1994.

Providing Supports for Child Protection and Adoption. The Family and
Medical Leave Act, signed by the President in 1993, enables working
parents to take time off to adopt a child without losing their jobs or
health insurance coverage. The 1996 welfare reform law signed by the
President also maintains child protection and adoption guarantees.

NOW IS THE TIME TO TAKE IMPORTANT NEXT STEPS. To follow through on this
record of achievement, the President and First Lady today will urge
Congress to provide new support for young people leaving foster care.
Under the current system, federal financial assistance for young people
in foster care ends just as they are making the critical transition to
independence. The President's FY 2000 budget request increases funding
by nearly $300 million to help these youth secure health care, life
skills training, and educational opportunities. With the
Administration's strong support, the House has already passed bipartisan
legislation to address these needs. The President today urged the
Senate to take prompt action on the companion measure and to safeguard
the interests of vulnerable young people leaving foster care.